Leaving Brazil, whether temporarily or permanently, is an important decision that entails specific tax obligations. Failure to comply with these procedures may result in future financial and legal issues, such as improper assessments, fines, and even the suspension of the CPF (Taxpayer Registry Number).
It is therefore essential to understand the differences between the Notice of Temporary Departure (Comunicação de Saída Temporária) and the Declaration of Definitive Departure (Declaração de Saída Definitiva do País), and how each affects your income tax obligations.
Notice of Temporary Departure
The Notice of Temporary Departure is intended for Brazilian nationals who leave the country on a provisional basis — whether for study, work, or other activities.
Who must file:
- Any Brazilian citizen planning to remain abroad for more than 12 months, without the intention of permanently severing ties with Brazil.
Deadline:
- Up to 30 days before departure.
Required documents:
- Passport;
- Visa or document proving travel;
- Evidence of ties with Brazil (e.g., employment contract, university enrollment, etc.).
Tax effects:
Even after filing the Notice of Temporary Departure, you continue to be considered a Brazilian tax resident. This means:
- You are still required to file income tax returns in Brazil, including foreign-sourced income;
- You remain subject to taxation on your worldwide income (domestic and foreign).
Important:
The Notice of Temporary Departure does not exempt the taxpayer from tax obligations in Brazil. You continue to bear all duties of a tax resident until you either formalize a definitive departure or return.
Declaration of Definitive Departure
The Declaration of Definitive Departure, in turn, is the procedure that formally severs your tax residency in Brazil.
Who must file:
- Brazilian nationals who leave the country permanently; or
- Foreign nationals who resided in Brazil for more than 183 days (consecutive or not) within a 12-month period and are now leaving permanently.
Deadline:
- On or before the date of definitive departure, or within 30 days thereafter.
Required documents:
- Passport;
- Proof of residence abroad;
- Income, assets, and rights declarations up to the departure date;
- Other information as required by the Federal Revenue Service.
Tax effects:
As of the date of definitive departure:
- You cease to be a Brazilian tax resident;
- You are no longer required to declare global income in Brazil, except for Brazilian-source income (e.g., rents, pensions, or investment returns);
- Such Brazilian-source income becomes subject to withholding tax at definitive rates (e.g., 15%, 25%, or 27.5%, depending on the case).
Key Differences: Notice vs. Declaration
Aspect Notice of Temporary Departure Declaration of Definitive Departure
Filing Deadline Up to 30 days before departure On or before departure, or within 30 days
Tax Residency Maintained in Brazil Terminated in Brazil
Purpose Inform temporary absence Terminate tax residency in Brazil
Main Risks if Omitted Fines, taxation of foreign income, tax liabilities Fines, taxation on global income, CPF suspension
Taxation on Worldwide Income Remains mandatory No longer applicable (only Brazilian-source income)
Annual IRPF Obligation Yes, continues No, except for Brazilian-source income
Consequences of Non-Compliance
If the Notice of Temporary Departure is not filed:
- You will continue to be treated as a tax resident, subject to declaring and paying taxes on worldwide income;
- Fines and interest may apply if undeclared income is identified.
If the Declaration of Definitive Departure is not filed:
- You will also continue to be considered a tax resident, subject to global taxation;
- Risks include retroactive assessments, CPF suspension, and difficulties regularizing your tax situation.
Practical Guidance
- Consult an accountant or tax lawyer to review your specific situation;
- Organize documentation in advance;
- Observe the deadlines and requirements of the Federal Revenue Service;
- Verify whether Brazil has a double taxation treaty with your destination country.
Conclusion
Understanding the distinction between the Notice of Temporary Departure and the Declaration of Definitive Departure is crucial to avoid tax complications and ensure a secure transition to your new stage of life. If you are leaving Brazil, plan carefully and regularize your tax status to prevent future liabilities.